Hardware Retailing The Industry's Source for Insights and Information
Retail spending grew in August as consumers purchased school supplies and attempted to get ahead of rising tariffs that could begin to affect prices, according to the National Retail Federation’s (NRF) CNBC/NRF Retail Monitor.
Total retail sales were up 0.5% seasonally adjusted month over month and up 6.81% unadjusted year over year in August. That compares to increases of 1.45% month over month and 5.89% year over year in July.
“Consumer spending rose again in August, fueled by a still-stable consumer and a robust back-to-school shopping season,” says Matthew Shay, NRF President and CEO. “Spending was supported by lower fuel costs, tax-free holidays and consumers buying products before tariff increases take effect. We may be seeing inflationary impacts from tariffs since recent data shows price increases in commodity goods. Even with weaker job growth than many expected, employment remains stable and at a high level, giving consumers the ability to spend thoughtfully on household priorities. Nonetheless, consumers are preserving spending power by cutting back on less-essential services.”
Although total retail sales were up in August, sales in building and garden supply stores were down 2.13% month over month seasonally adjusted and down 7.77% year over year unadjusted.
